The Company has engaged lead engineering companies – Ausenco Ltd. (ASX:AAX) and Golder Associates Pty. Ltd. of Brisbane, Australia – to assist with the current study being undertaken on its Cerro del Gallo deposit. The study is on schedule for completion by the third quarter 2008. All metallurgical test work for input into the study has been completed, and results are being compiled. Multiple flow sheets will be evaluated and based on the economic evaluation the most beneficial flow sheet will be carried forward into future studies. These flow sheets are based on producing a saleable copper concentrate and the production of gold-silver doré on-site.

Metallurgical testing to date has focused on the investigation of comminution, rougher flotation and cyanide leaching flow sheet options and testing was carried out by SGS Lakefield Oretest Pty. Ltd. (“SGS”) in Perth Australia.